Port of Long Beach commission delays Middle Harbor budget vote

LONG BEACH - Harbor commissioners on Monday postponed voting on the $1.2 billion budget for the Port of Long Beach's Middle Harbor project that seeks to merge and renovate old shipping terminals.

The item was withdrawn so that newer board members and the community can have the opportunity to get an overview on the project before passing the budget, said Harbor Commission President Susan E. Anderson Wise - even though construction is already under way and the port has signed a multibillion-dollar contract with a Chinese shipping company to locate there.

"There will be a study session about the overall project, its phases and various contracts will be reviewed in order for the board to have a broader understanding of the entire project before voting on the project budget," she said. "This is just one example of the meshing of governance and management to adopt and employ best practices that will continue to set this port apart."

The workshop has been tentatively scheduled for Jan. 22 in the boardroom. A time is still to be determined.

The vote appears to be more of a formality, since work is already under way on the 342-acre project, including six Pier E construction projects involving Middle Harbor that will be built using union- endorsed labor deals, or project labor agreements.

The delay in approving the budget isn't expected to cause any problems in the project timeline, which is on schedule, port spokesman Lee Peterson said.

Set for completion in 2019, work on the Middle Harbor project encompasses environmental and engineering costs, demolition, utility relocation and upgrades that will mean greater water access and more storage areas.

Improvements also include an expanded on-dock railyard that will grow from 10,000 to 75,000 linear feet, which will mean fewer local truck trips and less air pollution. The project will also include new technology, such as a

computer-controlled transport and stacking system that officials say will maximize productivity.

It will be home to longtime customer Orient Overseas Container Line, which is expected to move in 2016. The Hong Kong-based container shipping and logistics service company last year inked a 40-year, $4.6 billion deal that will triple the size of the company's footprint and is expected to double cargo movement, generate at least 14,000 permanent jobs and reduce port-related pollution.

This and other projects "represents this port's resolve to continue to plan for the future," Wise said.

"Local competition has never been greater, whether it's Prince Rupert (Canada) to the north, Lázaro Cárdenas (Mexico) to the south or the widening of the Panama Canal, the threat to our discretionary cargo has never been greater," she said. "That's why we will remain focused on keeping the Port of Long Beach competitive and maintaining our stature as a gateway of choice."

She added that projects and facilities will ensure jobs and training for the Long Beach community in the short run and economic prosperity in the long run.